Lisa A. Rickard, president of the U.S. Chamber Institute for Legal
Reform (ILR), made the following statement regarding today’s hearing on
the “Furthering Asbestos Claim Transparency (FACT) Act of 2015” (H.R.
526) in the U.S. House Judiciary Committee. The legislation would
require asbestos personal injury settlement trusts, which currently
operate with little oversight and transparency, to report on their
claims.

“We applaud Representatives Blake Farenthold and Tom Marino for
introducing this legislation, and the House Judiciary Committee for
holding today’s hearing. Abuse of the asbestos compensation system is a
national problem, and the recent indictment in New York with allegations
of kickbacks and self-dealing is just the latest example. Evidence of
plaintiffs’ lawyers manipulating and withholding key information
continues to unfold in the Garlock bankruptcy case, which stands
out as ‘exhibit A’ of the systemic fraud in asbestos litigation.

“Exploitation of the system drains the funds available to deserving
claimants and forces solvent companies, as well as their shareholders
and employees, to pay more than their fair share when claimants ‘double
dip’ in court and in the trust systems. The FACT Act would diminish the
damaging economic ripple effect of these abuses, without impacting
legitimate asbestos claims.”

ILR seeks to promote civil justice reform through legislative,
political, judicial, and educational activities at the national, state,
and local levels.

The U.S. Chamber of Commerce is the world’s largest business federation
representing the interests of more than 3 million businesses of all
sizes, sectors, and regions, as well as state and local chambers and
industry associations.